SMS is one of the highest-ROI marketing and communication channels available, but costs can add up quickly — especially if you are sending thousands of messages per month. The good news is that most businesses are overpaying for SMS without realizing it. Here are five practical ways to cut your texting costs without sacrificing deliverability or reach.
1. Choose a Provider with Volume-Based Pricing
Many SMS providers charge a flat per-message rate regardless of how many messages you send. This works fine for low volumes, but if you are sending more than a few thousand messages per month, you are leaving money on the table.
Look for providers that offer tiered or volume-based pricing where your per-message cost decreases as your volume increases. Even a fraction of a cent difference per message adds up dramatically at scale. If you send 50,000 messages per month, a $0.005 savings per message puts $250 back in your pocket every single month.
2. Optimize Your Message Length (Segments Matter)
Most people do not realize that a single SMS is limited to 160 characters. If your message exceeds that, it gets split into multiple “segments,” and you are billed for each segment separately.
A 170-character message is not billed as one text — it is billed as two. A 330-character message is billed as three. This is the hidden cost that silently doubles or triples many businesses’ SMS bills.
Tips to keep messages short:
- Use URL shorteners for links
- Remove unnecessary pleasantries (“Hope you are doing well!”)
- Avoid special characters and emojis, which switch encoding and reduce the segment limit to 70 characters
- Front-load the important information
3. Clean Your Contact Lists Regularly
Sending messages to invalid numbers, landlines, or contacts who have opted out is pure waste. Every message to a dead number costs you money and contributes nothing to your results.
Make it a habit to scrub your lists at least once per month. Remove numbers that consistently fail to deliver, honor opt-out requests immediately, and validate new numbers before adding them to your campaigns. A clean list of 5,000 engaged contacts will outperform a dirty list of 20,000 every time — and cost a fraction of the price.
4. Use the Right Messaging Channel for Each Use Case
Not every communication needs to be an SMS. Transactional notifications like order confirmations might be better suited for email. Long-form content belongs on your website or in a newsletter. Two-way conversations might work better through a chat widget.
Reserve SMS for what it does best: time-sensitive, high-priority messages where you need immediate attention. Appointment reminders, limited-time offers, verification codes, and urgent updates are perfect for SMS. Weekly newsletters are not.
By routing the right messages to the right channels, you reduce SMS volume without reducing your overall communication effectiveness.
5. Switch from an Overpriced Provider
This is the biggest lever most businesses can pull. If you are using a built-in SMS tool from your CRM or marketing platform, there is a good chance you are paying a significant markup over wholesale rates. Many platforms charge $0.015–$0.03 per message when the underlying carrier cost is a fraction of that.
Compare your current per-message rate to what dedicated SMS providers charge. You may be shocked at the difference. Some businesses save 40–60% simply by switching to a provider that passes through closer-to-wholesale pricing.
ReadySMS offers a price match guarantee. If you find a lower rate from a comparable provider, we will match it. Our standard rates are already among the lowest in the industry, starting at $0.0079 per outbound SMS. For businesses currently on LC Phone or similar built-in CRM texting, the savings are often immediate and substantial.
Start Saving Today
You do not need to implement all five strategies at once. Start with the one that will have the biggest impact for your business — for most companies, that is switching providers or cleaning up message length. Even one change can meaningfully reduce your monthly SMS spend.
Want to see exactly how much you could save? Contact the ReadySMS team for a free cost comparison based on your current usage.